BNP Paribas eyes pvt bank assets

French banking group BNP Paribas is exploring opportunities for acquisition of assets under management of private banking entities as part of its growth strategy in India.

BNP Paribas Private Bank has acquisition of assets as one of the options for growing private banking business in India, BNP Paribas private banking director Francois Debiesse told Business Standard here on Thursday.

Debiesse was in India for the first ever meeting of the Paris-based bank's private banking central executive committee in India. It meets twice a year in Asia.

"In private banking, the issue is of critical size. That's why the executive committee has decided on considering inorganic growth opportunities in addition to organic growth plans," Debiesse said.

He said any acquisition of private banking assets would be accompanied by taking on board the relationship managers of the acquiree entity.

Inorganic growth is part of BNP Paribas' global strategy. It acquired private banking assets worth euros 3 billion in 2004 in Switzerland, Monaco and Miami.

BNP Paribas private banking has euro 103 billion of assets under management globally and India currently accounts for about one per cent of it. The assets under management in India account for 4 per cent of the total private banking assets in Asia.

India is a priority for BNP Paribas private banking as it wants to leverage on its 150-year presence in India. BNP Paribas lacks a similar advantageous position in China.

BNP Paribas private banking has presence in 23 countries and sees India as a "very promising" market.